Brent Crude is headed for a test of medium-term support at $115/barrel. Respect would confirm the strong primary up-trend; strengthened if 63-day Twiggs Momentum forms a trough above the zero line. Breakout above $126 would offer a target of $150/barrel*.
* Target calculation: 125 + ( 125 – 100 ) = 150
The broader CRB Commodities Index broke its long-term rising trendline and is headed for a test of primary support at 295 . Failure would signal a decline to 265*. The 63-day Twiggs Momentum peak below the zero line already indicates continuation of the primary down-trend.
* Target calculation: 295 – ( 325 – 295 ) = 265
Colin Twiggs is a former investment banker with almost 40 years of experience in financial markets. He founded PVT Capital (AFSL number 546090), which provides income and growth strategies to wholesale clients.
Colin also co-founded Incredible Charts and writes the popular Patient Investor newsletter.
Using a top-down approach, Colin identifies macro trends in the global economy and then combines fundamental and technical analysis to evaluate opportunities in sectors that stand to benefit.
Focusing on interest rates and financial market liquidity as primary drivers of the economic cycle, he warned of the 2008/2009 and 2020 bear markets well ahead of actual events.
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